Business Strategies

Business Exit Strategies

Some business owners want to enjoy retirement free of stress from their business. We work with business owners to plan their Business Exit Strategy to make sure that they are fairly compensated for their exit and have the cash flow necessary to enjoy retirement.

 

Deferred Compensation

Many successful business owners report W-2’s in the high six-figures, sometimes even in the seven-figures. Through Deferred Compensation plans, we intentionally lower W-2 income to minimize taxes due in the current year. The deferred income then grows tax deferred which can be accessed to provide substantial retirement income.

 

Employee Stock Ownership Plans (“ESOP”) 

ESOPs are strategies used by employers to align the interests of their employees with the interests of the business. By issuing stock to employees, the goal of ESOPs is to incentivize employees to perform well as this should directly translate to an increased value of the stock. Whether a small business or large corporation, ESOPs could be a determining factor in increasing productivity and performance of employees. Additionally, ESOPs can be utilized as a succession planning tool for a business.

 

​Key-Man Insurance 

Many businesses are reliant upon the performance and expertise of key employees. The loss of a key employee is costly, which is why Key-Man Insurance is a solution that can provide capital to recruit a new employee with similar skillsets, or create immediate relief in the business through an influx of cash.

 

Buy-Sell Agreements

Many businesses are started and run by two or more shareholders that have a stake in the business. If a shareholder unexpectedly passes away, then Buy-Sell Agreements clearly outline how the share of the business will be restructured with the existing shareholders, as well as provide the beneficiary of the deceased shareholder with a fair value price for the share of the business surrendered.

 

​Captive Insurance Companies (CICs)

CICs offer an alternative solution for companies to fund, manage and mitigate risk.  For decades, forward-thinking organizations have formed CICs to strengthen the value and efficiency of property and casualty insurance, fund employee benefit programs, or commercial excess lines.

In a CIC, business owners create their own insurance companies to use portions of pre-tax business income to finance business risk, which otherwise may be too costly or unavailable through traditional insurance carriers. Of course, you can self-insure. If you bear uninsured risk, which is likely, owning a CIC may be the ideal strategy for you.

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Cash Flow Modeling

Understanding, utilizing, and predicting current and future cash flows is essential to any business operation. With proper Cash Flow Modeling, your business will avoid solvency issues, and instead, prosper with an abundance of cash.

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Executive Compensation Strategies

Retaining and incentivizing key executives or employees can be the difference between success and failure. Our inspired Executive Compensation Strategies give you the advantage over other employers, keeping your talented personnel financially satisfied within your company.

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Employee Retention Strategies

Retaining important employees is likely key to the success of your business. Through our proven strategies, we help you provide the incentives necessary to retain your employees and attract outside talent to enhance the well-being of your business.